iPhone 4 costs $188 to build

According to market research firm iSuppli, the 1.7 million and going strong iPhone 4 costs a wee bit less than $188 to manufacture, with the Retina Display being the most expensive component at $28.50 a pop. Bear in mind that this cost does not factor in additional items including labor, shipping, advertising, software development, or patent licensing. This figure was based on a 16GB iPhone 4, and the use of their internally designed A4 processor certainly drove the overall cost down further. We’re sure that whether the iPhone 4 costs $188 or a few dollars shy of three Benjamins, it would still have turned a comfortable profit for the fruity company.

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